Human Trafficking and Financial Crime Soar in Peru: A Growing Concern

Peru has emerged as a significant hub for human trafficking and financial crime, with the country serving both as a source and destination for victims. The situation is complex, with various factors contributing to the rise of these crimes.

Human Trafficking Hotspots

• False Employment Offers: Peruvian nationals are targeted by false employment offers while being trafficked abroad.
• Labor Exploitation in Illegal Mining Operations: Labor exploitation is a major concern in areas surrounding illegal mining operations, which tend to be isolated and lack government presence.
• Human Smuggling Routes: Peru serves as a transit point for migrants from Haiti and Senegal traveling through the country en route to Brazil, while those from the Dominican Republic attempt to reach Chile.

Financial Crime on the Rise

Peru’s financial intelligence unit has reported freezing millions of dollars in suspicious funds, but experts believe that more illicit money continues to flow through local banks, putting the country at high risk for money laundering and terrorism financing. The activities of crime groups in the north of the country have helped fuel local economic growth but also opened doors for extortion and other crimes.

Corruption and Governance Concerns

Peru’s high levels of corruption have reached the highest echelons of government, affecting governance and perpetuating organized crime. Several presidents have faced charges related to state contracts, bribery, and money laundering, while regional authorities have been accused of collaborating with drug traffickers and illegal loggers.

Judicial System Struggles

Peru’s judicial system has been successful in dealing with high-profile cases but slow and ineffective when handling lower-profile ones. The prison system is plagued by overcrowding, and the country’s suitability for coca leaf cultivation and vast ungoverned areas make it a strategic hub for international cocaine trade.

Civil Society Under Threat

Peruvian civil society organizations have increased efforts to protect victims of human trafficking, but resource availability remains a concern. Activists working on environmental issues are at high risk due to lack of protection, while investigative journalists face dissuasion or crackdowns when exposing corruption or investigating drug traffickers’ influence.

National Plan to Combat Money Laundering

Peru has made significant improvements in combating money laundering by establishing a national plan and improving institutions, laws, cooperation, and credibility. The financial intelligence unit has frozen millions of dollars in suspicious funds, but more work is needed to prevent illicit money from entering the country’s financial system.

Key Players Involved

Colombian and Mexican mafias have historically controlled Peru’s cocaine trade, while other international groups from Brazil, Ecuador, Venezuela, Serbia, and Italy are involved in various criminal activities. Peruvian authorities at all levels of government have been accused of collaborating with crime groups.

Overall, Peru’s situation highlights the complexity and interconnectedness of human trafficking and financial crime. Addressing these issues will require a multifaceted approach involving government, civil society, and international cooperation to protect victims, disrupt criminal networks, and prevent further corruption and money laundering.